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French Tax Unification Update: Automatic Reverse Charge of Import VAT from January 2022

The DGFiP (Direction Générale des Finances Publiques, or the Treasury Department of the French State) has announced that it will drop administrative requirements of businesses who has reverse charge import VAT accounting from January 1, 2022. This means that the import VAT will have to be self-accounted (i.e., reverse charged) through the periodic French VAT returns. 

 Currently, French VAT-registered companies need to request specific authorisations issued by the DGDDI (The General Directorate of Customs and Indirect Taxes) to reverse charge the import VAT. 

Source: globalvatcompliance.com

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